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KetanP (Virginia)
Posts: 22
Posted:
Hello Experts,

In my home owners assoication document there is a section Section 4: Replacement . Any director may be removed from the board in accordance with section 13.1-860 of the act, with or without cause, by majority vote of the members in accordance with Virginia law.

I am trying to understand the meaning of "members" mentioned above. Is it the board of member or is it the HOA members with voting rights. More than 50 % of the home owners want to remove a board member but the board of directors are protecting him. Can the homeowners start a petition and get signatures of more then 50% of home owners to remove this director or does the Board of directors only have the right to do it. This director was not elected by election but appointed by the BOD, hence they are trying to protect him.

I also want to understand the process involved if the the homeowners can act and " members" means HOA members.

Thank you.

KP

KerryL1 (California)
Posts: 14,550
Posted:
I think, Ketan, that "members in your citation mean members (homeowners) of your HOA, not members of the Board (generally called directors).You could start by reading your HOA's bylaws. Since the Board appointed this man, perhaps only the Board can remove him???? I don't know.

But, Tim of VA will be able to help you out!

But, I'm curious: Why, in your opinion, does the Board want to protect him? Why do you members want to remove him?
NpS (Pennsylvania)
Posts: 4,216
Posted:
Hi Ketan

In most states, the HOA members (owners) can remove a Director from the board.

In addition, if a Board member was appointed by the other board members, she can be removed by the board. But the board cannot remove a Director who was voted into office by the HOA members (owners).

13.1-860 is about the removal of a Director by the HOA members (owners) no matter if she was elected by the owners or appointed by the board members.

Sikubali jukumu. Read all posts at your own risk.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Ketan,

The law your governing documents refer to is the Virginia Nonstock Corporation Act. The applicable section of that act is ยง 13.1-860. Removal of directors (scroll down almost half way).

Members, in that application, is the members of the Association (i.e. the homeowners). Typically, in HOA's there is 1 vote per lot. Therefore, you will need agreement by 50% + 1 of the lots within your Association. This agreement of owners is shown via votes at a meeting of the membership called for this purpose (see paragraph D of that same section).

Note: If you have 100 lots, you will need 51 yea votes at the meeting to remove a Director.

Keep in mind that this process is to remove a Director, not an Officer (president, VP, etc.). Officers are appointed and removed by the Board. Even though both positions may be held by the same individual, they are two different positions.

The process is:

1) Create and circulate a petition to call a special meeting of the membership for the purpose of recalling [name] and [name] as Directors. An example of such a petition (although written for CA) is available here (simply replace the percentage amount and the reference to the law).

2) The number of lots (not owners) that need to sign will be in your governing documents. If silent, then, per VA ยง 13.1-839, the amount would be 20% of the members (lots) eligible to vote (which may or may not be all of the lots). Always get more signatures than needed.

3) Once signatures are obtained, make copies and submit the list to the Board.

However, I would suggest that this is done via certified mail (to have a paper trail) to the registered agent of the Corporation and mail (first class mail) a copy of the petition to each Director (as this makes sure that the Board is actually aware of the recall effort). Keep a copy for yourself.

4) The Board should schedule a special meeting of the membership after they have verified the signatures as being from members eligible to vote.

However, if the Board finds enough names that is ineligible to sign the petition, then the petition is invalid and you will need to start anew. Hence, the reason to obtain more signatures then necessary.

If the Board does not schedule a special meeting of the membership, then you will need to do so and follow all notice requirements.

Once the meeting is scheduled, you need to (once again) start knocking on doors and obtain proxies to ensure that you meet quorum requirements and have the number of votes.

This process may take several months. If your annual meeting is close, and those Directors are up for re-election, it may be simpler to simply gather the support (in the from of proxies) to simply not reelect those individuals. Of course, this also means that there have to be more than enough candidates to choose from. Therefore, you will need to find those willing to serve on the Board as a Director (perhaps you).

Hope this helps,

Tim
KetanP (Virginia)
Posts: 22
Posted:
Tim,

As always thank you for your advise . In this case the VP was appointed by the board and not elected by any voting process. So if I understand correctly, the home owners cannot remove him ( VP) even though more than 50% of the community feels that he should not be there. Is my understanding correct?

Thanks again

KP
TimB4 (Tennessee)
Posts: 21,059
Posted:
Keatan,

Your understanding is incorrect. The voting groups, referred to in paragraph B of that section of statute, is different classes of members (example Class A being the developer and Class B being the homeowners).

The fact that the Board appointed the individual to fill the vacancy does mean that they could remove him if they desired. However, that doesn't prevent the membership from removing them either. Note: if the Board really wants to keep the individual, they may claim that the membership doesn't have the authority (based on that section of the statute). When, if, that occurs, the issue may need to be taken to the courts for a ruling.

However, if there is enough members upset and sign the petition, that individual may simply step down.

Since you referred to the individual as the VP, I again advise you that there are two different positions. The membership may not remove the individual from serving as VP, only from serving as a Director. Who serves as an Officer is the prerogative of the Board (unless there are qualifiers that must be met (such as the President and VP must also be Directors, or no individual may hold two offices, etc.).

Worst case, the membership could remove the individual from the Director position (which keeps them from casting votes at Board meetings) but the Board may still keep them on as an Officer.
NpS (Pennsylvania)
Posts: 4,216
Posted:
Hi Ketan

In most HOAs, a Director who was made a Director without an election by the owners only serves until the next election.

Two thoughts:

1. If there's only a few months til the next homeowner vote, it might not be worth your while to go after a recall. Just put your energy toward electing someone else into that Director seat.

2. Your HOA might say that the un-elected Director serves out the full term of the person he replaced. That could be multiple years. So it would make sense for you to find out first where the Board is coming from on how long a replacement Director serves.

Sikubali jukumu. Read all posts at your own risk.
KerryL1 (California)
Posts: 14,550
Posted:
Which document are you referring to in your quote, Ketan: "In my home owners assoication document there is a section Section 4: Replacement . Any director may be removed from the board in accordance with section 13.1-860 of the act, with or without cause, by majority vote of the members in accordance with Virginia law."

Is it your bylaws? If so, I again advise you to read more of them. For one thing, they'll probably say how long this board-appointed director (assuming he's not just an officer--VP) can serve. till the next election? Or till the end of the term of the director he replaced? If it's soon, just wait for the election and elect someone else.

And written form others. You & other homeowners are members. You can remove him as a DIRECTOR via the steps Tim outlines. Only the board can remove him from the office of VP.

Can you share why you all want him gone? And why the Board wants to keep him?
GeorgeR8 (Arizona)
Posts: 182
Posted:
You had a thread about this appointed vice president before. You were upset he was appointed when you did not have a chance to explain your qualifications. Am I correct here?

I really don't think you want to go down this path. What is to stop the ousted VP from building support from people that voted against the recall and people who did not vote the first time? If you were to replace him, especially in a close vote, you can expect to be recalled in the near future.

You have every right to start a recall movement. A previous post explained what to do. I just wanted to point out what may happen. It would be much easier, and less problems in the future if you would just run in the next election.

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